Adcock Ingram to acquire Virtual Logistics

04 April 2017

In
a significant move to expand their distribution offering, Adcock Ingram
Healthcare (Pty) Ltd, has acquired Virtual Logistics (Pty) Ltd, a national and
cross border fine distribution company. The acquisition will be effective
April 2017.

Already
a well-established logistics operator, Adcock Ingram is the only local
pharmaceutical company offering a full service pharmaceutical distribution
solution. As a leading pharmaceutical company, Adcock Ingram does direct
distribution nationally to wholesalers, hospitals pharmacies, and home
deliveries to patients.

“This
acquisition brings us closer to realising our strategic vision of owning a
fully compliant network and will make us one of the largest fine distributors
in the country,” said Tobie Krige, Managing Director of the Distribution
division. “Virtual Logistics has an extensive national footprint across South
Africa with tailored solutions for hospitals, pharmacies, clinics, healthcare
practices and general retail delivery outlets. This expanded footprint
will complement our operational reach and capacity, allowing for improved
service levels to customers, especially pharmacies. Our well established
ability to offer a contract service to potential customers, will be enhanced by
this deal.”

The
reach of over 3000 destinations, currently serviced by Virtual Logistics, will
enhance and expand the Adcock Ingram offering of over 6000 drop points allowing
greater choice in ‘route to market’ for all industry stakeholders. This
is of particular importance in the pharmaceutical industry where compliance
requirements are non-negotiable.

“Adcock
Ingram’s valuable owner driver enterprise development initiative will gain
critical mass as we combine the two companies’ schemes under the new structure,
which will assist in achieving our transformation objectives,” Krige concluded.

Jeanette
Charlton, Managing Director and owner of Virtual Logistics will join the Adcock
Ingram Distribution management team to ensure a seamless integration
process. “I am excited about the future of Virtual Logistics and this
opportunity for the company to reach its full potential under the Adcock Ingram
umbrella,” said Charlton.

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